Seven Tips to Make Your 2021 Year-End Giving Easy
November 4, 2021
With the end of the year fast approaching, it’s time for many to begin thinking about their year-end gifts. Our Advancement team — Michelle Hardy, Mimi Slade and Cortney Bailey — created this list of tips to make your 2021 year-end giving a little easier.
Give now — decide later.
If you are planning for a charitable tax deduction this year but are undecided about which nonprofits to support, consider opening a donor-advised fund at Central Carolina Community Foundation. You can claim a deduction for contributions to your fund now even though distributions from the fund might be made in future years. A donor-advised fund can be set up in one meeting.
Create a giving plan.
The Community Foundation can help you create a giving plan to help you think strategically about how you give and to what organizations. This ensures that your donations make the greatest impact on the causes you care about while maximizing tax advantages.
Create a fund through your estate plans to provide ongoing support to charities most meaningful to you.
We can work with you and your advisors to set up a fund through your estate that maximizes your charitable giving and minimizes your tax impact.
Let the Community Foundation do the legwork.
Working with Central Carolina Community Foundation gives you access to our extensive knowledge of the local nonprofit community and the broad charitable needs of our region—so you can stay informed about the organizations you support and the effect your giving will have on the future of our community.
Gifts through the mail and by credit card.
A gift by check is complete when mailed (postmarked) to the charitable recipient, even if not cashed until the following year. Gifts by credit card are complete when your credit card account is charged.
Gifts of long-term appreciated stock have potential tax benefits of avoiding capital gains tax on the appreciated value while receiving a deduction for the fair-market value of the appreciated gift. Please consult your tax advisor because there are some deduction limits to stock donations depending on your income and situation.
Designated Funds – a vehicle for accepting Qualified Charitable Distributions (QCDs) from IRAs.
While the IRS prohibits Qualified Charitable Distributions from an IRA to flow into a donor-advised fund, donors can create designated funds with their IRA distribution at the community foundation. Donors must select the nonprofit beneficiaries at the time the fund is established. Designated funds can be set up in one meeting.
This information is not intended as legal or tax advice. For such advice, please consult an attorney or tax advisor. References to tax rates include federal taxes only and are subject to change. State law may further impact your individual results.